Securities code: Wuhu Conch Profiles And Science Co.Ltd(000619) securities abbreviation: Wuhu Conch Profiles And Science Co.Ltd(000619) Announcement No.: 202219 Wuhu Conch Profiles And Science Co.Ltd(000619)
Foreign Investment Announcement
The company and all members of the board of directors guarantee that the contents of the announcement are true, accurate and complete without false records, misleading statements or major omissions.
1、 Investment overview
On March 25, 2022, after the deliberation and unanimous approval of the 17th meeting of the 9th board of directors of Wuhu Conch Profiles And Science Co.Ltd(000619) (hereinafter referred to as "the company"), it was agreed that the subordinate holding subsidiary Henan conch Songji new materials Co., Ltd. (hereinafter referred to as "conch Songji") would use its existing land and plant houses to invest in the construction of 20000 tons of photovoltaic frame and support aluminum profile project, with a fixed asset investment of about 97.43 million yuan, The sources of funds required for the project are self owned funds and bank loans.
The above investment matters are within the approval authority of the board of directors and do not need to be submitted to the general meeting of shareholders for approval. According to the relevant provisions of the Listing Rules of Shenzhen Stock Exchange, the above transactions do not constitute related party transactions.
The above transactions do not constitute a major asset reorganization as stipulated in the measures for the administration of major asset reorganization of listed companies.
2、 Basic information of investment object
Conch Songji, located in Dengfeng City, Henan Province, was established on August 4, 2016 with a registered capital of 200 million yuan. Its business scope is: general projects: manufacturing of photovoltaic equipment and components; Sales of photovoltaic equipment and components; Non ferrous metal calendering; Manufacturing and processing of doors and windows; Sales of doors and windows; Construction of metal doors and windows; Sales of building decoration materials; Mold manufacturing; Mold sales; Manufacturing of rubber products; Sales of rubber products; Manufacturing of mechanical and electrical equipment; Sales of mechanical and electrical equipment; Manufacturing of electronic (gas) physical equipment and other electronic equipment; Import and export of goods; Technical services, technical development, technical consultation, technical exchange, technology transfer and technology promotion (except for projects subject to approval according to law, carry out business activities independently according to law with business license): residential interior decoration; Construction project construction. The company holds 70% equity of conch Songji and Beijing Kangcheng Borui Business Management Co., Ltd. holds 30% equity of conch Songji.
Under the background of vigorously promoting carbon peak and carbon neutralization, the state has successively issued policies to support the development of photovoltaic industry. Photovoltaic frame and bracket, as auxiliary materials of photovoltaic modules, have broad market prospects. From a regional perspective, Anhui Province, Henan Province, Zhengzhou and other places also encourage the development of photovoltaic industry as an advantageous industry or leading industry.
Conch Songji has the whole process production process system integrating aluminum extrusion and finishing, has the experience of photovoltaic frame finishing and corresponding equipment, and has established a complete set of industrial production system from mold design and manufacturing, production processing, surface treatment to finishing process, which can provide customers with one-stop service and has the foundation of photovoltaic aluminum market. Conch Songji uses its existing land and plant to invest in the construction of 20000 ton photovoltaic frame and support aluminum profile project, which is the need to meet the market demand and improve the operation quality of the enterprise. The planned fixed asset investment of the project is about 97.43 million yuan, which is expected to be completed and put into operation in the third quarter of 2023.
3、 Purpose of project investment, existing risks and impact on the company
Conch Songji invested in the construction of 20000 ton photovoltaic frame and support aluminum profile project, which can make use of the existing plant and land to revitalize idle assets and reduce investment costs; On the other hand, it can meet the market demand, expand the company's business and form an effective supplement to the operation of conch Songji. Risks of the project: first, the industry is a completely competitive industry. In the face of fierce market competition, the company's investment may not achieve the expected effect; Second, the photovoltaic aluminum industry of the company urgently needs to reserve corresponding professional technicians. At present, the company has deficiencies in the number of technicians, professional level and production organization capacity, which may have a certain impact on the early production management.
At present, the above investment projects have no significant impact on the company's future financial status and operating results.
It is hereby announced.
Wuhu Conch Profiles And Science Co.Ltd(000619) board of directors March 26, 2022
